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My company is transitioning from waterfall (plan driven) methods to agile/scrum methods and the same questions about capitalization are being asked. In the past, strict rules about design artifacts completeness and approval were in place to satisfy external auditors. Now, we say the teams determine what level of design/documentation is required so that they can understand the user stories and deliver what the product owner says customers need.

I see the original post was over a year ago, but no one replied to the original question... Is agile compatible with expense capitalization? If not, what is the expectation for meeting the "materially complete" moment when capitalization can begin?